Green Mountain Coffee Roasters Statement Of Cash Flows
Introduction
Coffee is one of the world's most popular beverages. Green Mountain Coffee Roasters is a company that specializes in creating high-quality coffee for consumers. The company has been in business for over 35 years, and they have a reputation for producing some of the best coffee in the world. In this article, we will be discussing Green Mountain Coffee Roasters' statement of cash flows.
What is a statement of cash flows?
A statement of cash flows is a financial statement that shows the cash inflows and outflows for a company over a specified period. It provides information on how a company generates and uses cash. The statement of cash flows is divided into three sections: operating activities, investing activities, and financing activities.
Operating Activities
The first section of the statement of cash flows is operating activities. This section shows the cash inflows and outflows that are related to the company's primary business activities. For Green Mountain Coffee Roasters, this would include the cash received from selling coffee, as well as the cash paid for raw materials and labor.
In 2019, Green Mountain Coffee Roasters had a net cash inflow of $342 million from operating activities. This was an increase from the previous year, when the company had a net cash inflow of $283 million.
Investing Activities
The second section of the statement of cash flows is investing activities. This section shows the cash inflows and outflows that are related to the company's investments in long-term assets. For Green Mountain Coffee Roasters, this would include the cash paid for new equipment and facilities.
In 2019, Green Mountain Coffee Roasters had a net cash outflow of $173 million from investing activities. This was a decrease from the previous year, when the company had a net cash outflow of $190 million.
Financing Activities
The third section of the statement of cash flows is financing activities. This section shows the cash inflows and outflows that are related to the company's financing activities. For Green Mountain Coffee Roasters, this would include the cash received from issuing new stock or bonds, as well as the cash paid for dividends and debt payments.
In 2019, Green Mountain Coffee Roasters had a net cash outflow of $63 million from financing activities. This was an increase from the previous year, when the company had a net cash outflow of $46 million.
Conclusion
In conclusion, Green Mountain Coffee Roasters' statement of cash flows provides valuable information on how the company generates and uses cash. The company had a net cash inflow of $106 million in 2019, which was an increase from the previous year. By analyzing the statement of cash flows, investors and analysts can gain insight into the company's financial health and make informed investment decisions.